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Federal authorities have seized $15 billion in bitcoin from Chen Zhi, a Chinese-Cambodian kingpin accused of running a sprawling scam enterprise that relies on human trafficking and slavery, the U.S. Department of Justice announced on Tuesday.

The asset seizure is part of a broader criminal investigation into Chen and his conglomerate, Prince Group, a Cambodia-based business empire that prosecutors said masked one of Asia’s largest transnational fraud and human trafficking networks.

Prosecutors said Chen, 38, founded Prince Group in 2015 and personally oversaw its expansion. The organization allegedly lured workers through fake job postings, then held them captive in heavily guarded compounds where they were forced—under constant threat of torture—to commit online scams.

The compounds, enclosed by barbed wire and high walls, functioned as forced-labor camps, prosecutors said. Inside, hundreds of trafficked workers were beaten, surveilled, and compelled to operate vast “phone farms,” or automated call centers using thousands of devices to execute fraudulent investment schemes.

Officials said Prince Group operates dozens of business entities in more than 30 countries. One network operating from Brooklyn, New York, allegedly laundered millions of dollars stolen from more than 250 American victims on behalf of Prince Group.

A criminal <a href="https://www.justice.gov/usao-edny/media/1416251/dl?inline">indictment</a> unsealed Tuesday in Brooklyn federal court charges Chen with conspiracy to commit wire fraud and conspiracy to commit money laundering. If convicted, he faces up to 40 years in prison.

“Today’s action represents one of the most significant strikes ever against the global scourge of human trafficking and cyber-enabled financial fraud,” Attorney General Pam Bondi <a href="https://www.justice.gov/opa/pr/chairman-prince-group-indicted-operating-cambodian-forced-labor-scam-compounds-engaged">said</a> in a statement.

Chen, who was born in China and is believed to have held multiple citizenships, remains at large. The FBI is seeking information on his whereabouts.
<h2>Sanctions</h2>
In parallel with the DOJ’s action, the U.S. Treasury Department and the UK Foreign Office imposed coordinated <a href="https://home.treasury.gov/news/press-releases/sb0278">sanctions</a> on 146 individuals and entities linked to the Prince Group network. Officials described the move as the largest joint action ever targeting cyber fraud and human trafficking operations in Southeast Asia.

According to the Treasury, the network’s tactics included the so-called <a href="https://www.fincen.gov/system/files/shared/FinCEN_Alert_Pig_Butchering_FINAL_508c.pdf">“pig-butchering” schemes</a>, a type of investment fraud that originated in China.

In such schemes, scammers cultivate online relationships with victims, sometimes posing as romantic partners, before convincing them to invest in fake cryptocurrency trading platforms. The “butchering” comes when the scammers disappear, taking every dollar their victims have invested.

“The rapid rise of transnational fraud has cost American citizens billions of dollars, with life savings wiped out in minutes,” said U.S. Treasury Secretary Scott Bessent.

“The masterminds behind these horrific scam centers are ruining the lives of vulnerable people and buying up London homes to store their money,” British Foreign Minister Yvette Cooper <a href="https://www.gov.uk/government/news/uk-and-us-take-joint-action-to-disrupt-major-online-fraud-network">said</a> in a separate statement.

As part of Tuesday’s actions, the Treasury also finalized a rule cutting off Cambodia-based Huione Group, a major financial services conglomerate, from the U.S. financial system. Officials allege that for years, Huione laundered proceeds from cryptocurrency scams and cyber heists on behalf of criminal actors tied to Prince Group.

The UK sanctions specifically target Chen and his <a href="https://ofac.treasury.gov/media/934686/download?inline">key associates</a>, freezing any assets under British jurisdiction and prohibiting travel to the country.

According to the FBI’s Internet Crime Complaint Center, cryptocurrency investment fraud caused more than $5.8 billion in reported losses in 2024 alone. A <a href="https://news.mccombs.utexas.edu/faculty-news/romance-fraud/">study</a> by the University of Texas at Austin last year estimated that such scams may have stolen over $75 billion globally between January 2020 and February 2024.

<em>From <a href="https://www.theepochtimes.com/world/us-seizes-15-billion-in-bitcoin-from-leader-of-southeast-asian-online-scam-network-5929328">The Epoch Times</a></em>

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